Insurance Proceeds

From time to time, the Company will receive a check from an insurance company that is payable jointly to the owner, the association, and the lender for a particular unit owner. Generally, this will take place when a unit is damaged as well as some common areas.

Before such a check can be endorsed and given to the owner, the Property Supervisor must make certain that any damage to the common areas have been repaired to the full satisfaction of the board and the contractor doing the work on the common area has been paid. If the repairs are satisfactory and the common area work paid for, the board should expressly approve the endorsement of the check either by the Company (the approval must be ratified in the Minutes) or a member of the board.

Since these checks tend to be quite large, the processing of them should be given a very high priority.